Direct method comparing efficient and nonefficient payoffs in differential games (Q597182)

A method is proposed for determining whether a Markov-perfect Nash equilibrium of a differential game is Pareto efficient, without knowledge of the explicit solutions to the Hamilton-Jacobi-Bellman equations. A sufficient condition is provided in terms of an algebraic inequality where the gradient of the value functions of the cooperative and non-cooperative games as well as the state and control variables are involved.